WI AB965

Prohibits operators from making "companion chatbots" available to Wisconsin children under 18 unless the chatbot incorporates safety measures preventing it from encouraging self-harm, suicide, violence, drug/alcohol use, disordered eating, or illegal activity including creation of child sexual abuse materials

Defines "companion chatbot" as a generative AI system that simulates humanlike relationships by retaining user information across sessions, asking unprompted emotional questions, and sustaining ongoing personal dialogue—excludes customer service bots, research tools, and internal business systems

Requires safety measures to prevent chatbots from offering mental health services, discouraging children from seeking professional help, depicting sexually explicit content, prioritizing validation over factual accuracy/safety, or optimizing engagement in ways that override safety protections

Authorizes DATCP or DOJ to investigate violations and seek civil forfeitures up to $25,000 per violation per day, injunctive relief, and attorney fees; allows children (or parents/guardians) who suffer actual harm to sue for actual and punitive damages

Until January 1, 2027, operators are only liable if they have actual knowledge that a user is a child; after that date, operators must reasonably determine whether users are children